This article makes a case for using regional planning to improve the social and economic regional impact of land reform policy in developing countries. We focus on rural settlements in the Brazilian north-east, where land reallocation has been approached in a variety of ways over many decades. The study identifies problems deriving from the lack of a plan-led strategy, leading to failures in identifying sustainable areas and designing appropriate policy interventions on a regional scale. Based on the planning literature and our empirical results, it is proposed that different views on land reform should be combined into a broader regional strategy. This involves strategic targeting of specific areas to define a portfolio of investment and spending priorities, combined with intergovernmental and intersectoral co-ordination, running from the early stages of a project's formulation until the final stages of its implementation. Additionally, this paper shows that combining top-down and bottom-up approaches to land reform, and supplementing policymaking at the national level with programme/project design and implementation at the subnational level, allows an effective government response to rural poverty and landlessness.